Slide 1: Fiscal Q3 2019 Earnings Call FieldReport
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD The Industry Leader in Craft Friendly Fiber Optic Management and Connectivity Solutions Fiscal Q3 2019 Earnings Call FieldReport
Slide 2: Important Cautions Regarding Forward-Looking Statements
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 Important Cautions Regarding Forward‐Looking NASDAQ:CLFD Statements • Forward‐looking statements contained herein and in any related presentation or in the related FieldReport are made pursuant to the safe harbor provisions of the Private Li
Slide 3: Welcome
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Welcome Cheri Beranek PRESIDENT & CEO NASDAQ:CLFD 3
Slide 4: FQ3 2019 Review
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD FQ3 2019 Review Quarterly Revenue • Revenue of $21.9 million, up 2% year‐over‐ year • Experienced significant growth in National $21.5M $22.5M $21.9M Carrier market, driven by strong market $20.1M $19.1M adoption of FieldShield a
Slide 5: Q3 Year-over-Year Revenue by Market
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 Q3 Year‐over‐Year Revenue 1 Trailing Twelve Month Revenue CompositionNASDAQ:CLFD by Market 8% 5% $14.0 $13.7 10% 13% 64% Community Broadband (Tier 2 & 3, utilities, municipalities, and alternative carriers) $3.3 Wireline/Wireless National Te
Slide 6: Financial Update
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Financial Update Dan Herzog CHIEF FINANCIAL OFFICER NASDAQ:CLFD 6
Slide 7: Quarterly Financial Performance
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Quarterly Financial Performance Revenue $22.5 $21.9 $21.5 $20.1 $19.1 Q3‐18 Q4‐18 Q1‐19 Q2‐19 Q3‐19 +10% +22% +19% +13% +2% Year‐over‐Year Growth Rate Note: Dollar figures in millions NASDAQ:CLFD 7
Slide 8: Quarterly Financial Performance
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Quarterly Financial Performance Revenue Gross Profit $22.5 $8.5 $8.6 $8.4 $21.5 $21.9 $7.9 $20.1 $19.1 $7.0 Q3‐18 Q4‐18 Q1‐19 Q2‐19 Q3‐19 Q3‐18 Q4‐18 Q1‐19 Q2‐19 Q3‐19 +10% +22% +19% +13% +2% 39.5% 38.3% 39.6% 36.8% 38.4% Year‐ov
Slide 9: Quarterly Financial Performance
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Quarterly Financial Performance Revenue Gross Profit Operating Expenses $8.5 $8.6 $8.4 ** $6.9 $22.5 $21.9 $6.8 $21.5 $7.9 $20.1 $6.7 $19.1 $7.0 $6.1 $6.1 Q3‐18 Q4‐18 Q1‐19 Q2‐19 Q3‐19 Q3‐18 Q4‐18 Q1‐19 Q2‐19 Q3‐19 Q3‐18 Q4‐18 Q1
Slide 10: Quarterly Financial Performance
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Quarterly Financial Performance Revenue Gross Profit Operating Expenses Net Income $8.5 $8.6 $8.4 ** $6.9 $1.9 $22.5 $21.9 $6.8 $1.8 $21.5 $7.9 $20.1 $6.7 $19.1 $7.0 $1.3 $1.0 $6.1 $6.1 $0.4 Q3‐18 Q4‐18 Q1‐19 Q2‐19 Q3‐19 Q3‐18 Q4
Slide 11: Strong Balance Sheet Supports Profitable Growth
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 Strong Balance Sheet Supports Profitable Growth NASDAQ:CLFD Cash and Investment Balances • $43.2 million in cash and cash $44.2M $44.3M $43.2M investment $33.1M $34.3M $35.5M balances $22.6M • Zero Debt 2013 2014 2015 2016 2017 2018 Q3 2019
Slide 12: Clearfield's 'Coming of Age' Plan
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Clearfield’s ‘Coming of Age’ Plan Expanding Core Community Broadband Business Attracting utilities, co‐ops and CLECs as they enter underserved communities, and maintaining steady growth rate of 8‐12% Enhancing Competitive Positio
Slide 13: Fiscal 2019 Outlook & Guidance
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Fiscal 2019 Outlook & Guidance Revenue Growth Outlook ($ in Millions) $83 ‐ $83.5 $87 $75.3 $73.9 $77.7 $83M ‐ $87M 37% ‐ 38% REVENUE GROSS MARGINS $60.3 31% ‐ 33% 3% ‐ 5% OPERATING EXPENSES NET INCOME as % of revenue as a % of r
Slide 14: Q&A
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Q&A Cheri Beranek Dan Herzog PRESIDENT & CEO CHIEF FINANCIAL OFFICER NASDAQ:CLFD 14
Slide 15: NASDAQ:CLFD
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD NASDAQ:CLFD 15
Slide 16: Thank You
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD Thank You Cheri Beranek PRESIDENT & CEO NASDAQ:CLFD 16
Slide 17: Contact Us
FieldReport / Fiscal Q3 2019 Earnings Call / July 25, 2019 NASDAQ:CLFD COMPANY CONTACT: INVESTOR RELATIONS: Cheri Beranek Matt Glover or Najim Mostamand, CFA Contact Us President & CEO Clearfield, Inc. Gateway Investor Relations (949) 574‐3860 IR@clfd.net CLFD@gatewayir.com NASDAQ:CLFD 17